How Real Estate Can Help You Build Wealth (Yes, You Can Do This!)

When you think about creating wealth, real estate might not be the first thing that comes to mind. Maybe it feels overwhelming, or you’ve heard it’s only for people with a ton of money. But here’s the truth: real estate has been one of the most consistent and accessible ways for ordinary people to build lasting wealth. And with the right approach, you can do it too!

Let’s talk about how—and why—real estate investment has worked for others and how it can work for you.

Real People, Real Wealth: Historical Examples

You don’t need to look far to see how real estate has changed people’s financial lives. Just take John Jacob Astor as an example. Back in the early 1800s, he started buying up land in Manhattan. Was he a millionaire when he started? No. But he had a vision. By steadily investing in the right properties, he built a fortune and became America’s first multimillionaire. The thing is, he didn’t just stumble into wealth—it was a choice he made to invest in real estate.

Fast forward to the 1960s, and you've got Donald Bren. He started buying property in California, one step at a time. His steady investments turned into ownership of over 115 million square feet of real estate. He didn’t make all that money overnight, but his journey proves that real estate, done right, can lead to enormous financial success.

You might be thinking, "Sure, those guys lived in different times, with different opportunities." But what they did wasn’t magic—it was about understanding the value of real estate as an investment and sticking with it. And while you may not be aiming to become a billionaire, the wealth-building principles they used still apply today.

The Key Benefits of Real Estate Investment (And Why It’s Not Out of Reach)

Let’s break down why real estate could be your ticket to building wealth—whether you want extra income, financial security, or a legacy for your family.

1. It’s More Accessible Than You Think

A lot of people believe you need loads of cash upfront to get into real estate. But that’s not always true. There are different ways to enter the market, depending on what works for you. You could start by buying a small rental property, renovating and selling homes, or even investing in real estate investment trusts (REITs) with a smaller initial amount. Plus, with guidance from people who know the market (like us!), you'll have the support you need to make smart decisions, avoid common pitfalls, and start investing at your own pace.

2. It’s a Long-Term Wealth Builder

Real estate is one of those rare investments that tends to appreciate over time. Property values generally increase, which means your investment could be worth more in the future than what you paid for it. Meanwhile, you can earn income from rent, and all of this builds equity. The best part? That wealth can be passed down to future generations. Imagine creating a financial safety net for your kids or grandkids just by owning the right property!

3. Tax Benefits That Save You Money

You’re already paying taxes, but what if you could use real estate to lower your taxable income? Owning rental properties, for example, allows you to deduct a wide range of expenses, like mortgage interest, property management fees, and maintenance costs. These deductions can lower your tax bill, giving you more cash to invest or save.

4. It Outperforms Other Investments

While stocks can be volatile and bonds often offer lower returns, real estate has a history of outperforming other types of investments when you take into account rental income, appreciation, and tax benefits. By holding onto property over time, you can see your wealth grow steadily, even through market ups and downs.

Why This Matters Now—And For You

Maybe you’ve thought about real estate investment before but held back because it felt too complicated or risky. But here’s the thing: real estate can be one of the safest and most rewarding ways to build wealth, especially when you have knowledgeable support. It’s about starting where you are, with what you have. Real estate investing is a journey, and like any worthwhile journey, it begins with that first step.

You don’t have to be the next John Jacob Astor to build wealth through real estate, but you can learn from his strategy. Start small, think long-term, and stay focused on your goals. We’re here to help you figure out the best way to get started—whether that’s buying your first rental property, exploring opportunities to flip homes, or even talking through how to enter the market strategically.

If you’re ready to start exploring how real estate can create financial security and a lasting legacy, reach out. We’re here to guide you every step of the way.

Warm regards,
Don & Susie Karstedt

Mobile: 253-987-6789
Email: findus@rethinkingre.com
Website: RethinkingRE.com
Office Phone: 253-987-6789